This document relates to a smart hinge assembly such as may be used as part of a powered tailgate assembly on a pickup truck or other motor vehicle. Advantageously, the smart hinge assembly incorporates an absolute position sensor for monitoring the angular orientation of the rotary drive cup of the smart hinge assembly. This current rotary drive cup position data can be used by a controller of the powered tailgate assembly to reorient the rotary drive cup into an installation position wherein a hinge pin socket in the rotary drive cup is properly aligned for installing a tailgate on the motor vehicle. Thus, the smart hinge assembly ensures that the powered hinge assembly is properly oriented for trouble-free and efficient installation.